BlueFlamingo

UNM Too Good To Be True?

Long
BlueFlamingo Updated   
NYSE:UNM   Unum Group
First off, Nobody can predict the future so you should always take everything I (and others) say with a grain of salt. My opinion on great stocks could be risky or unwise to others.

Currently UNM is trading at a P/E ratio of 3.62 and are expected to grow at a 1.5% rate annually. Their book value per share is $49.10 and their annual cash flow is higher than their stock’s share price. Their average on safety and have a rising dividend with a 6.8% yield with only a 22% payout ratio! The rest of their earnings are split between buybacks and reinvesting in equity.

UNM appears average to their industry/competitors on return on assets, price to sales ratio and debt to equity ratio.

WARNINGS: Their first quarter earnings are (.79) compared to their prior quarter (1.44) but their earnings are expected to recover to at least ($1.20) next quarter. Before net income their spending 1/8 of their profits on debt interest which isn’t too much of a problem imo. I couldn’t find any info about their ‘stock based compensation’ but that’s already included in the net income so thinking not too big a deal.

UNM does disability insurance for major accidents and illness like car crashes and serious sickness.
Was a long one
Comment:
I completely forgot to add the riots in my warnings! Forget what I said about expected earnings which were guessed on March 7th. How long do you think the violence will last? Ask yourself that before investing in this stock
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